Landlord request feels unfair

[Uberbeeboo]

Hi, I'm looking for some advice about our rights as tenants. We have lived in our rental property for coming up to 5 years and were made aware in March our landlord wanted to sell when our tenancy ended on 31st august 2024.

We therefore purchased a new build property which we believed would have been built by now, however we now have been given the completion date of 30th September 2024.

Today we asked the estate agent who manages our property if we can stay until our new property is ready to move into and they have responded with an ultimatum saying we can stay, but there will be a £400 increase of the rent per month starting next week when the rent is due.

The rental house is not sold and we've only done 2 viewings since April. We've been good tenants and were disappointed we had to move anyway. We really can't afford an extra £400 next week, so I was hoping if someone would kindly give me a little guidance with this please?

Offer to meet half way at 200, you might need another month if your developer doesn't get it finished.

Nope. Rental increases have to have 30 days notice. They legally can't make you pay that

Firstly, where are you? Very unlikely to be Scotland based on the fixed tenancy, but is it England?

Has anyone (you or the landlord) actually given notice or are you just treating the end of the fixed tenancy as the tenancy actually coming to an end? "Aware landlord wants to sell" does not a notice make.

We're in North East England. We were served s21 appropriately 2 months before the tenancy ended. We had every intention of having moved by then, but the new house is delayed a few weeks.

I thought the landlord would have been understanding so I was shocked by the email saying rent will increase from £800 - £1200 on 1st September until we're gone.

I just want to make sure I know what I'm talking about before I respond. I was reading section 13 means I need 30 days notice of an increase of rent, however I'm not clear on what the rules are at the end of tenancy.

It's frustrating as we started looking for somewhere new as soon as we found out the landlords intention to sell. We made sure the house was pristine for viewings and even worked from home to show people around.

Does an increase of that amount reflect comparable property’s rental prices?

Hi, no it is on the higher side, especially for a house like this around here. I'm sure he could get more if he wanted to continue to rent it, however nowhere near what he has asked from us.

I'd the tenancy has ended you automatically go onto a rolling months contract so the protections of the old contract still apply.

Unless you are signing a new rental agreement for that month they cannot spring an increase like than on you without the correct notice. They're trying it on

That's really helpful, thank you.

https://www.gov.uk/private-renting/rent-increases#:~:text=Otherwise%2C%20your%20landlord%20can%3A,after%20the%20fixed%20term%20has

To me the wording suggests that they must give 30 days notice even if they are increasing the rent when renewing the tenancy, so if they have only informed you today it sounds to me like they could only expect you to pay the rent increase from 1st October and that rent for the first month should remain the same.

I guess the worry is if you’re not willing to pay the higher price, and if that’s the value they’re expecting a new tenant to pay, they might prefer to have you move out on 31st August as agreed and get new tenants in. I understand £400 is a lot of extra money to find, but I suppose in the landlords eyes it is a lot of money to lose as well if that’s the market value and what a new tenant would pay.

They'd have to go to court to force the tenants out though if they refuse to leave. They'd be out by the time it got a hearing.

This is correct. He can increase your rent if you sign a new tenancy but if you go onto a rolling tenancy he has to give 30 days notice. My last landlord was caught out by this.

No fucking way. You are under no obligation to pay £400 more rent.

I would be tempted to counter offer, £600. Then let them squirm.

Whilst it feels like you are at their mercy, you really do hold more cards op. You could pay no rent and their next step would be court to evict you. I don’t know the waiting times in your area but I’d be surprised if it wasn’t months and months. You will be home owners very shortly, you do not need a reference.

I would contact the agent and tell them “yeah, nice try” I expect the agent will be quite on your side in thinking the landlord is an ass. You will pay £800 for sept, and if necessary £800
or pro rata for October. You do not accept any raise in the rate. If he doesn’t agree don’t pay anything and let him recover it from the deposit. There’s nothing he can do.

The landlord has no intention of renting it back out, it's on the market at an oddly high price which is being reduced every month when there's no viewings. I do understand his frustration and I had no intention of being awkward and wanted to leave on good terms.

I think I'll just have to keep applying pressure on my solicitors to get this sale through ASAP.

Also, tell them that for the rest of your tenancy you will not allow viewings. No more playing nice.

Is the completion date on your new build held up by building work?

Apparently the weather has caused havoc this year so there are delays across the whole site. The house is built and almost ready to move in to.

I'd just stay there and pay the normal rent. What can he do?

“Hi landlord, thanks for stating your terms. as you will be aware, a 30 day notice of a rental increase is needed. Therefore we will pay the rent to 30 sep at the old rate for (23) days and the new rate for (7) days.”

If he’s trying it on, he will jump at that compromise

And have a plan b / friends, relatives, Airbnb, stuff in storage!

Just stay there and don't pay rent at all. By the time the landlord has to fork out a fortune for court and bailiffs, you'll be gone anyway.

Thank you everyone! I feel far more informed and less worried about it. I'll pay the usual amount on 1st September and keep my fingers crossed the new house is ready sooner.

Am I missing something here? Why is the OP entitled to pay whatever she wants when the tenancy has legally ended?

She’s not. She is however entitled to 30 days notice of any raise and is entitled to negotiate.

Why do you think the landlord is entitled to ramp up the rate to whatever he wants?

As in most negotiations there are two parties with differing interests who need to argue for their best option. The landlord thinks he has OP over a barrel. We are pointing out that he doesn’t have all the power at all, quite the contrary. OP isn’t entitled to pay nothing but if that’s what she did there is sweet FA the landlord can do. So perhaps he needs to adjust his interpretation of the situation here.

No the rent can only increase to a new rate at the next payment date. And the tenant still has to agree to it.

The next payment due date is 1st September.